UltraTech reports results for 3rd quarter

1st February, 2006

21 January 2006

UltraTech reports results for 3rd quarter

Rs. in Crore
	31 December 2005	31 December 2004
Net sales	783	660
PBIDT	117	58
Gross profit	95	32
Profit before tax expenses	43	19
Net profit	24	11

UltraTech Cement Limited, an Aditya Birla Group Company has reported net sales during the quarter at Rs. 783 crore effectively up by 5 per cent (after adjusting the freight and trading sales impact) than the third quarter of the previous year (Rs. 660 crore). Operating Profit was Rs. 117 crore (Rs. 58 crore).After providing for Interest - Rs. 23 crore (Rs.25 crore), Depreciation - Rs. 51 crore (Rs. 52 crore) and Tax - Rs. 19 crore {Rs. 8 crore}, the Profit After Tax stood at Rs. 24 crore (Rs. 11 crore}.

During the quarter the company produced 31.27 LMT of clinker (28.13 LMT) and 30.70 LMT of cement (31.04 LMT). Clinker capacity utilisation stood at 96 per cent as compared to 86 per cent in the same quarter during the previous year. Effective cement capacity utilisation was lower at 87 per cent vis-à-vis 97 per cent during the third quarter in the previous year consequent to lower clinker export and restricted despatches from the company's plant at Andhra Pradesh and Arrakonam.

Aggregate sales volumes was 38.04 LMT (40.86 LMT). Exports constitute 20 per cent of the total turnover.

The company is increasing the share of cement exports in its export mix. Cement constitutes 51 per cent of the total exports of the company.

The rise in turnover is on account of improved domestic and export realisation despite reduced sales volume.

The power and fuel cost rose by 6 per cent during the quarter mainly due to increase in petro products prices. Steps have been initiated for the use of alternative fuel at the company's plant at GCW to reduce fuel costs.

A scheme for the amalgamation of Narmada Cement Company Limited (NCCL), a subsidiary, in which the company holds 97.80 per cent of the paid-up equity share capital, was approved by the Company's Board in December 2005. In terms of the Scheme, 1 (one) equity share of Rs.10/- each credited as fully paid up of the company will be allotted for 18 (eighteen) equity shares of Rs. 10/- each credited as fully paid up of NCCL. Upon receipt of all statutory approvals and the scheme coming into effect, the company's aggregate capacity will be 17 mtpa.

For more information, contact:
Dr. Pragnya Ram
Group Executive President
Corporate Communications & CSR
Aditya Birla Management Corporation Private Limited
Tel: 91-22-6652 5000 / 2499 5000
Fax: 91-22-6652 5741/ 42
Email: pragnya.ram@adityabirla.com